The finance ministry led by Mr Pranab Mukherjee and aviation ministry led by Mr Ajit Singh have already agreed to allow foreign carriers to invest up to 49 per cent in local carriers. However, the government is yet to announce its decision about domestic carriers.
The aviation ministry in its recommendation to the Department of Industrial Policy and Promotion (DIPP) said that two third of the board members should be Indians and Indians should be responsible for the effective control in the aviation sector.
Vijay Mallya on Wednesday met Commerce Minister Anand Sharma but did not disclose the details of the meeting. However, while leaving Mr Sharma's office, Mallya said, "I am neither the government nor the policy maker. The FM has made a statement about FDI in Budget speech. I read about 49% FDI in aviation in the newspaper yesterday."